OmiseGO, one of the most exciting projects being built on top of Ethereum, is also one of the most anticipated. This project is set to be the first cryptocurrency to implement Plasma on the Ethereum blockchain, and that has a lot of people taking note.
Plasma is a blockchain scaling solution thought up by Lightning Network co-creator Joseph Poon and co-founder of Ethereum Vitalik Buterin.
According to the Plasma whitepaper:Plasma is a proposed framework for incentivized and enforced execution of smart contracts which is scalable to a significant amount of state updates per second (potentially billions) enabling the blockchain to be able to represent a significant amount of decentralized financial applications worldwide. These smart contracts are incentivized to continue operation autonomously via network transaction fees, which is ultimately reliant upon the underlying blockchain (e.g. Ethereum) to enforce transactional state transitions. Plasma Simply Explained
Simply put, the Plasma scaling solution is blockchains being built on top of blockchains. The blockchains built on top of the main blockchain (Ethereum) are referred to as child chains. These child chains can also have their own child chains, and so on and so forth.
Basically, Plasma is many blockchains branching off from a parent chain, which in turn is linked to one main blockchain. The branching blockchains will be used to perform complex operations, which takes the load off of the main chain. This results in faster speeds and lower transaction fees because the main chain does not need to replicate these actions.
An in-depth explanation of the Plasma scaling solution can be found here.OmiseGO Plasma Development & Implementation Source: OmiseGO blog
Now that we have a basic understanding of what the Plasma scaling solution is, how is OmiseGO implementing this technology and what stage of development are they currently at?